Cardano’s (ADA) price suggests that there are not enough willing buyers, which has led it to drop below important support and triggered a bearish market structure breach. The latest development comes with a short window of opportunity for a recovery; if it is not taken advantage of, it might lead to a sell-off.
As things currently stand, Cardano is trading at $0.3978, down 4.56% in the last 24 hours, and is down a further 7.94% across the previous week having reach lows last seen on the wick of May’s monthly red candle.
In his technical analysis, cryptocurrency trader Livercoin cautioned against “catching a falling knife,” pointing out that ADA’s retracement to levels last seen in May presents a possible chance for long positions if Cardano can regain lost territory.
“ADA just cleared the May lows. I think a reclaim of red zone could be an interesting long. No reason to knife catch it here, but just a setup to add to your watchlist.”
Cardano network performance after Vasil hard fork
The advantages that the Vasil hard fork is projected to bring to the network are more likely to be realized in the long term as opposed to the immediate future. For instance, staked Cardano (ADA) dropped to 8-month low despite the Vasil upgrade Finbold reported on October 6.